here<\/a>, but right now, let\u2019s get into the contracts themselves, what the clauses are that you need to pay attention to, and what you can negotiate.<\/p>\nIt\u2019s important to note that German labour law is very much on your side as an employee. It\u2019s designed to protect you and your rights and your employer really has to provide excellent reasons if they want to let you go. Some provisions such as parental leave are provided for by law, and are not required to be written into the terms of your employment contract. But here are some clauses that are.<\/p>\n
Limited vs. Unlimited Contracts<\/h3>\n
German:\u00a0Befristeter \/ Unbefristeter Arbeitsvertrag<\/em><\/strong><\/p>\nAccording to German law, all employees must have written contracts that lay out the key clauses of the employment relationship. This means that both you and your employer know what\u2019s expected of you and what\u2019s expected of them. Most startup employers will first offer you a limited contract due to the precarious nature of the business, usually for a period of one or two years. Others go straight in with the unlimited contract to make sure they\u2019ve nabbed you. Don\u2019t be taken aback if you\u2019re offered a limited contract as it\u2019s common practice and does not reflect their faith in your potential. Of course, this is always open to negotiation, so don\u2019t be afraid to fight your corner.<\/p>\n
Job description and place of work<\/h3>\n
German:\u00a0Position,\u00a0T\u00e4tigkeitsbeschreibung,<\/strong>\u00a0Arbeitsort<\/strong><\/em><\/p>\nAll German employment contracts will describe the job you are expected to do and where you are expected to do it. In most cases, this will be at the office. Shocker. The company may of course move to another location within the same city, but they may not relocate to a different city or country that requires their employees to move there, too.<\/p>\n
Salary<\/h3>\n
German:\u00a0Verg\u00fctung,\u00a0Monatsgehalt, Gehalt<\/em><\/strong><\/p>\nThis section of your contract will detail exactly how much you will be paid and when. Always bear in mind that it\u2019s worth negotiating for a higher wage from the first day as it\u2019s hard to trade up once you\u2019re already within a company. In fact, moving between jobs is your best chance of getting a pay hike. However, many startups will be running on a shoestring, so if you\u2019re coming from a richer, more expensive city, you can probably expect to be paid less than you would normally be used to. The number stated in your contract is your gross salary, and you should expect that number to shrink rather significantly before it lands in your bank account. This is due to the deductions and contributory payments that will automatically be deducted from your salary. These include income tax, health and unemployment insurance, pension payments, church tax (if you are registered to an organised religion), and the solidarity surcharge which funds German reunification projects.<\/p>\n
Bonuses<\/h3>\n
German:\u00a0Bonuszahlung,\u00a0Gehaltszulage,\u00a0Sonderverg\u00fctung<\/strong><\/em><\/p>\nThe salary section of your contract should also contain details of any bonus systems that the employer has in place as reward for good performance. Be sure that any verbal statement about bonuses is reflected in your written contract as you will only be able to claim them if it has been agreed in writing.<\/p>\n
Probation Periods<\/h3>\n
German:\u00a0Probezeit<\/strong><\/em><\/p>\nMost contracts will provide for a probationary period during which time you and your employer get to figure out if it\u2019s really the right fit. The length of this period will be stated in your contract, and is usually between three and six months.<\/p>\n
Working Hours<\/h3>\n
German:\u00a0Arbeitszeit<\/strong><\/em><\/p>\nYour contract should clearly state what your standard working hours should be per week. In Germany, this should be 40 hours for full-time employment, spread over 5 days. Almost all jobs \u2014 with the notable exception of hospitality and some vocational staff \u2014 will guarantee that you have Sunday off.<\/p>\n
Overtime<\/h3>\n
German:\u00a0\u00dcberstunden<\/strong><\/em><\/p>\nYour contract should state what is expected of you, and how you will be remunerated (e.g. overtime pay \/ time in lieu etc) in the event that you are required to work overtime. Your employer may not mandate overtime for you, and it is only acceptable in exceptional cases. If you are likely to have to work overtime, your employer is obliged to make you aware of this before you sign the contract.<\/p>\n
Side jobs<\/h3>\n
German:\u00a0Nebent\u00e4tigkeiten<\/strong><\/em><\/p>\nYou\u2019re usually free to take on a side job if you so wish, unless your additional work is for a company that your employer views as a direct competitor.<\/p>\n
Sick Leave<\/h3>\n
German: Krankschreibung<\/strong><\/em><\/p>\nIf you are sick, you need to tell your employer that you\u2019re unable to work and won\u2019t be showing up that day. If you\u2019re ill for longer than three days, you\u2019ll need to go to the doctor to get a sick note which you will then need to pass on to your employer. Some contracts will require you to get a sick note on the first day of your illness, but this is uncommon. If you have already been employed for a full four weeks and you become ill for a longer period of time, your employer is obliged to pay your full salary for up to 6 weeks. In certain circumstances, they may be required to pay you for up to 12 weeks.<\/p>\n
Vacation Allowance<\/h3>\n
German:\u00a0Urlaub<\/strong><\/em><\/p>\nWith a 5-day week, your employer is obliged to offer you 20 days of paid vacation time. Most contracts however will offer between 24 and 30 days.<\/p>\n
Termination<\/h3>\n
German:\u00a0K\u00fcndigung<\/strong><\/em><\/p>\nYour contract should state how much notice either party needs to give to terminate the contract. This clause is designed to give the employee maximum protection against unfair dismissal. The notice period can be anywhere between four weeks and seven months, depending on the length of employment. This period is usually two weeks within the probation period.<\/p>\n
Non-solicitation clauses<\/h3>\n
German:\u00a0Abwerbeverbot<\/strong><\/em><\/p>\nA non-solicitation clause dictates that you may not poach clients or staff from this job for your personal benefit or for the benefit of any future job you may undertake. This is common in sales roles where the pool of customers is limited.<\/p>\n
Non-competition clauses<\/h3>\n
German:\u00a0Wettbewerbsverbot, Verbot von Konkurrenzt\u00e4tigkeit<\/strong> <\/em><\/p>\nYour contract may include a section which states that you may not work for or with the companies that your employer is competing against. This is true even if this isn\u2019t explicitly stated in your contract. You will no longer be bound by the non-competition clause after your employment ends. However, some contracts may contain a post-contractual non-competition agreement which may last up to 24 months. That means you can\u2019t work for a competitor for at least two years after your contract ends. This kind of agreement is usually accompanied by a hefty monetary sum.<\/p>\n
Obligation to secrecy<\/h3>\n
German:\u00a0Verschwiegenheitsverpflichtung<\/strong><\/em><\/p>\nMost contracts will contain a confidentiality\u00a0clause, but even if it\u2019s not explicitly stated, you may not share any trade secrets, sensitive information, or company materials outside of the company. This includes code, financial information, customer lists etc.<\/p>\n
Other clauses may be added in depending on the terms of your contract, but these are the primary ones. Even if it\u2019s completely standard, make sure you read through and completely understand it before you sign. It\u2019s a good idea to initial the bottom of each page of the contract to show that you have seen it and fully understand what it entails.<\/p>\n
Let us know if you come across any other clauses that we can clarify for you.<\/p>\n
\nExplore\u00a0more Berlin articles<\/h3>\n